Important Issues impacting state funding

Issues impacting state funding formula:

There are many issues impacting the state funding formula. I feel the following four items significantly impact the funding formula.

1.        Property tax – Property taxes are a vital part of current funding formula.  Whether they are perceived as a positive or negative, they fluctuate across the state from district to district. This creates the need for assistance from the state.

2.        Weighted funding – This funding source covers a wide range and variety. It consists of numerous funding formulas and/or requirements that can be confusing at time but also beneficial to districts that benefit if they have a large number of students in required areas. This includes funding formulas such as, FSP program (Tier 1 and 2 funding) and weighted average daily attendance (WADA)

3.       Maintenance & Operation (M&O) tax rate- In my opinion this source of funding is important because it is actually set by the local school district. The state has capped the amount it can be but has left some control to the local district.

4.       My last thought does not necessarily come directly from week 1 lecture but it is something I observed from the lecture and was recently reminded by our superintendent as we were discussing school finance. Looking back over the history of school finance, for the most part school districts have benefitted better in terms of funding from court cases then they have from legislative sessions.